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George Troicky, who controls these buildings along High Avenue in downtown Cleveland, claims that permanent street closures for a nearby casino welcome center have hurt the value of his real estate. Troicky and High Street Properties LLC have sued the city and an affiliate of casino group Rock Ohio Caesars LLC over issues related to the street reconfiguration and a digital sign on the casino's parking garage.
(Michelle Jarboe McFee, The Plain Dealer)

CLEVELAND, Ohio -- Another legal fight is brewing in downtown Cleveland's Gateway District, where the 2012 opening of the Horseshoe Casino Cleveland set off jostling over real estate that hadn't received much attention in decades.

Now George Troicky, who owns a short stretch of buildings along High Avenue, is alleging that permanent street closures for the casino's Ontario Street welcome center and a prominent digital sign mounted on a casino parking garage have dinged the value of his property and hurt his prospects of attracting tenants. In January, Troicky and High Street Properties LLC, a company tied to his family, filed a lawsuit against the city of Cleveland and an affiliate of gaming group Rock Ohio Caesars LLC.

Both the casino group and the city have asked a Cuyahoga County judge to throw out the case, which comes amid dramatic changes and other legal squabbles on the surrounding blocks.

View full sizeHigh Avenue now ends here, at East Second Street, instead of extending west to Ontario Street. The roads were reconfigured to make room for a welcome center and valet-parking operation (at left) for the Horseshoe Casino Cleveland, which opened in 2012.Michelle Jarboe McFee, The Plain Dealer

Rock Ohio Caesars warred with members of the Maloof and Anter families over the Stanley Block, a condemned historic building that the city razed in 2012, mid-litigation.

The nearby Herold Building, on Prospect Avenue, has been the subject of a clash in Cleveland Housing Court and eventually might land in a county courtroom if the property owner keeps pushing for demolition.

In the middle of the action, there are Troicky's properties, nondescript buildings that house storage, offices and the occasional ground-floor business.

Kenneth Fisher, Troicky's attorney, argues that the city's decision to close portions of East First Street and High for the casino welcome center hampered his client's visibility. High, which runs west from East Fourth Street, no longer reaches Ontario. Now it ends at East Second Street, which directs traffic north toward Prospect.

In court filings, Fisher alludes to a potential $300,000 drop in value for the High Avenueproperties, due to the street closures, the billboard or both.

Troicky deferred to his lawyer. Fisher said the case speaks for itself.

"We had ongoing discussions with the city as it related to the vacation," he added, referring to the street closures. "And then, of course, the billboard was approved. By the time the dust settled, we felt that we were significantly damaged as a result of all the approvals that were granted. We've really been damaged here."

A city spokeswoman declined to comment on the litigation.

In a motion to dismiss filed in February, the city said Troicky and High Street Properties failed to make a compelling argument that they deserve compensation for damage resulting from the street reconfiguration.

A Rock Ohio Caesars spokeswoman would not discuss the litigation. In court filings, attorneys for the gaming group have said the claims in the lawsuit don't hold up -- and have little to do with anything the casino investors did or did not do.

"High Street's actions give rise to no actionable claim against Rock Ohio," attorneys at the Calfee law firm wrote to support their request that Judge Nancy McDonnell dismiss the case. "The complaint contains vague grievances about lawful actions of the city and Rock Ohio."

View full sizeThe lawsuit filed by George Troicky and High Street Properties LLC raises questions about whether this prominent digital sign, on the south face of the Horseshoe Casino Cleveland's parking garage, is technically a billboard. Cleveland doesn't allow new billboards downtown, but property owners can obtain permission to erect on-premises advertising.Michelle Jarboe McFee, The Plain Dealer

The real estate argument is a bit simpler than the sign dispute.

In February 2012, the city issued a building permit allowing Rock Ohio Caesars to erect a 49-foot-by-63-foot digital sign on the south side of the former Gateway North parking garage. The casino group bought that garage from the city in 2011 and uses it for casino self-parking and overflow valet space.

Troicky's lawsuit raises questions about the nature of the sign and whether it violates city codes. The issue comes down to whether the digital display is technically a billboard, or just on-premises advertising. Cleveland doesn't allow new billboards downtown. But property owners can seek approval for signs promoting on-site businesses.

The city's planning department considers the Gateway garage to be an add-on to the casino and Quicken Loans Arena. So the city treated the sign, which flashes messages about casino promotions, to be on-premises advertising -- not a billboard.

Troicky and High Street Properties disagree, since the sign isn't mounted on the casino and some of the images refer to casino sponsors. In court filings, Fisher argues that Rock Ohio Caesars was able to put up the sign without a proper vetting by the city and feedback from neighboring property owners.

"Apparently, separate laws and secret special rules exist for Rock Ohio, as opposed to all others within the city of Cleveland," Fisher wrote.

In a subsequent response, Rock strenuously objected to that statement.

Troicky and High Street are scheduled to file an amended complaint before mid-April. The case is set for a pre-trial hearing in June.

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